Ball Metalpack, CEVA Logistics, United Site Services, MW Industries, PSAV revisions surface

By Sara Rosenberg

New York, July 25 – In the primary market on Wednesday, Ball Metalpack shifted some funds between its first-and second-lien term loans, updated spreads on the tranches and widened the issue price on the second-lien debt, and CEVA Logistics Finance BV increased the size of its term loan, finalized pricing at the low side of guidance and added a step-down.

Also, United Site Services (USS Ultimate Holdings Inc.) and MW Industries Inc. modified original issue discounts on their incremental first-lien term loans, PSAV upsized its add-on first-lien term loan, and EagleView Technology Corp. moved up the commitment deadline on its first-lien term loan B.

Additionally, Verifone Systems Inc., AppLovin Corp., Lumentum Holdings Inc. and Lightstone Holdco LLC disclosed price talk with launch, and Vivint (APX Group Inc.) emerged with new deal plans.

Ball Metalpack reworked

Ball Metalpack raised its seven-year first-lien term loan (B1/B) to $395 million from $375 million and set pricing at Libor plus 450 basis points, the low end of the Libor plus 450 bps to 475 bps talk, while leaving the 0% Libor floor, original issue discount of 99.5 and 101 soft call protection for six months unchanged, according to a market source.

Also, the company trimmed its eight-year second-lien term loan (B3/CCC+) to $145 million from $165 million, firmed the spread at Libor plus 875 bps, the high end of the Libor plus 850 bps to 875 bps talk, and changed the discount to 98 from 98.5, the source said. This tranche still has a 1% Libor floor and call protection of 102 in year one and 101 in year two.

The company’s $665 million of credit facilities also include a $125 million five-year ABL revolver.

Recommitments were due at 5 p.m. ET on Wednesday and allocations are targeted for Thursday, the source added.

Ball Metalpack leads

Goldman Sachs Bank USA, Bank of America Merrill Lynch, Deutsche Bank Securities Inc., Credit Suisse Securities (USA) LLC, Mizuho and Stifel are leading Ball Metalpack’s credit facilities, with Goldman the left lead on the first-lien loan and Bank of America the left lead on the second-lien.

The new debt will be used to form Ball Metalpack via a joint venture between Ball Corp. and Platinum Equity Capital Partners.

Under the agreement, Ball will contribute its U.S. steel food and aerosol packaging manufacturing assets to the joint venture, and in return will receive more than $600 million in pre-tax proceeds and will retain a 49% interest in Ball Metalpack, for a total value of about $675 million.

Ball Metalpack is a manufacturer of tinplate food and aerosol cans.

CEVA changes emerge

CEVA Logistics lifted its seven-year first-lien term loan to $475 million from $400 million, firmed pricing at Libor plus 375 bps, the low end of the Libor plus 375 bps to 400 bps talk, and added a 25 bps step-down at 0.75 times inside closing leverage, a market source said.

The term loan still has a 0% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months.

Recommitments were due at 5 p.m. ET on Wednesday, the source added.

Credit Suisse Securities (USA) LLC and HSBC are leading the deal that will be used to help repay all $580 million term loans due 2021, to fund a tender offer for around $438 million of 9% first-lien senior secured notes due 2020 and for general corporate purposes.

The company also plans on getting a new $600 million senior revolving credit and ancillary facility due 2023.

CEVA is a Switzerland-based third-party logistics company.

United Site tweaks deal

United Site Services changed the original issue discount on its fungible $125 million incremental covenant-light first-lien term loan due Aug. 25, 2024 to 99.75 from 99.5, and left the discount on its fungible $50 million incremental covenant-light second-lien term loan due Aug. 25, 2025 at 99.25, a market source remarked.

The incremental first-lien term loan is priced at Libor plus 375 bps with a step-down to Libor plus 350 bps when corporate ratings are B2/B or better and a 1% Libor floor, and the incremental second-lien term loan is priced at Libor plus 775 bps with a step-down to Libor plus 750 bps when corporate ratings are B2/B or better and a 1% Libor floor, which matches existing first-and second-lien term loan pricing.

The first-lien term loan is getting 101 soft call protection for six months.

Bank of America Merrill Lynch, Morgan Stanley Senior Funding Inc., Jefferies LLC, Goldman Sachs Bank USA and Deutsche Bank Securities Inc. are leading the deal that will replenish cash funds used for a recent acquisition, fund two additional acquisitions currently under letters of intent and add cash to the balance sheet.

Existing lenders are offered a 50 bps consent fee for a concurrent amendment.

Commitments and consents were due at 4 p.m. ET on Wednesday.

United Site Services is a Westborough, Mass.-based provider of portable restrooms, temporary fence and related site services.

MW modifies discount

MW Industries tightened the original issue discount on its fungible $30 million add-on first-lien term loan to 99.875 from 99.75, according to a market source.

The add-on first-lien term loan is priced at Libor plus 350 bps with a 0% Libor floor, in line with the existing $457 million term loan.

Commitments are due at noon ET on Thursday, moved up from 5 p.m. ET on Thursday, and allocations are targeted for Thursday afternoon, the source said.

RBC Capital Markets is leading the deal that will be used to fund an acquisition and to repay revolver borrowings.

MW Industries is a Rosemont, Ind.-based designer and manufacturer of springs and other specialty engineered metal components for diverse end markets.

PSAV upsizes

PSAV increased its fungible add-on first-lien term loan (B2/B-) due March 2025 to $150 million from $125 million, according to a market source.

Pricing on the add-on first-lien term loan is Libor plus 325 bps with a 1% Libor floor, in line with existing first-lien term loan pricing, and the add-on loan still has an original issue discount of 98.75 and 101 soft call protection for six months.

Recommitments are due at 11 a.m. ET on Thursday, the source said.

Goldman Sachs Bank USA, Credit Suisse Securities (USA) LLC, J.P. Morgan Securities LLC, Morgan Stanley Senior Funding Inc. and Blackstone Capital Markets are leading the deal that will be used to support the buyout of the company by Blackstone from affiliates of Goldman Sachs and Olympus Partners.

With this transaction, existing first-lien lenders are being offered a 12.5 bps amendment fee on current positions and existing second-lien lenders are being offered a 25 bps amendment fee on current positions.

PSAV is a Long Beach, Calif.-based event technology provider.

EagleView moves deadline

EagleView Technology accelerated the commitment deadline on its $535 million seven-year covenant-light first-lien term loan B to 5 p.m. ET on Monday from Aug. 1, a market source said.

Talk on the first-lien term loan B is Libor plus 375 bps with a 0% Libor floor, an original issue discount of 99 to 99.5 and 101 soft call protection for six months.

The company’s $850 million of senior secured credit facilities also include an $85 million five-year revolver and a $230 million pre-placed second-lien term loan.

Morgan Stanley Senior Funding Inc., Barclays, Credit Suisse Securities (USA) LLC, Goldman Sachs Bank USA and Macquarie Capital (USA) Inc. are leading the deal that will be used to help support a significant new equity investment by Clearlake Capital Group LP, refinance an existing first-lien term loan, fund a dividend to shareholders, and pay related fees and expenses.

Under the transaction, Vista Equity Partners will remain a significant owner of the company.

Closing is expected in the third quarter.

EagleView is a Bothell, Wash.-based provider of aerial imagery and property data analytics.

Verifone sets guidance

Also in the primary market, Verifone Systems held its bank meeting on Wednesday afternoon and a few hours before the event began, price talk on its $1.65 billion seven-year covenant-light first-lien term loan (B1/B) and $300 million eight-year covenant-light second-lien term loan (Caa1/B-) was announced, according to a market source.

Talk on the first-lien term loan is Libor plus 400 bps to 425 bps with a 0% Libor floor and an original issue discount of 99.5, and talk on the second-lien term loan is Libor plus 800 bps to 825 bps with a 0% Libor floor and a discount of 99, the source said.

As reported earlier, the first-lien term loan has 101 soft call protection for six months, and the second-lien term loan has call protection of 102 in year one and 101 in year two.

The company’s $2.2 billion of senior secured credit facilities also include a $250 million revolver.

Commitments are due at 5 p.m. ET on Aug. 8.

Verifone being acquired

Proceeds from Verifone’s credit facilities will be used with about $1,629,000,000 of equity to fund its buyout by an investor group led by Francisco Partners for $23.04 per share in cash, representing a total consideration of about $3.4 billion, which includes Verifone’s net debt.

Credit Suisse Securities (USA) LLC, Barclays and RBC Capital Markets are leading the credit facilities.

Closing on the buyout is expected in the third quarter, subject to customary conditions, and receipt of stockholder and regulatory approvals.

Verifone is a San Jose, Calif.-based company that makes secure electronic payment equipment.

AppLovin reveals talk

AppLovin came out with talk of Libor plus 325 bps to 350 bps with a 0% Libor floor and an original issue discount of 99.5 on its $820 million seven-year covenant-light term loan B (B1/B) that launched with a morning meeting, a market source remarked.

Commitments are due at noon ET on Aug. 7, the source added.

Bank of America Merrill Lynch and KKR Capital Markets are leading the deal that will be used with a minority investment from KKR to repurchase 100% of the company’s outstanding convertible promissory notes and to pay fees and expenses.

KKR announced on July 17 that it was making a $400 million investment in the company.

AppLovin is a Palo Alto, Calif.-based mobile monetization platform that enables performance-based user acquisition campaigns for mobile game and other app developers.

Lumentum launches

Lumentum held its bank meeting in the morning and launched its $500 million seven-year covenant-light first-lien term loan (Ba2/BB) at talk of Libor plus 250 bps to 275 bps with a 0% Libor floor and an original issue discount of 99.5, a market source said.

Commitments are due on Aug. 7.

Deutsche Bank Securities Inc. is leading the deal that will be used to help fund the acquisition of Oclaro Inc. for $5.60 in cash and 0.0636 of a share of Lumentum common stock. The transaction values Oclaro at about $1.8 billion in equity value.

Closing is expected in the second half of this year, subject to approval by Oclaro’s stockholders, antitrust regulatory approval in the U.S. and China, and other customary conditions.

Lumentum is a Milpitas, Calif.-based provider of photonics products for optical networking and lasers for industrial and consumer markets. Oclaro is a San Jose, Calif.-based provider of optical components and modules for the long-haul, metro and data center markets.

Lightstone holds call

Lightstone surfaced in the morning with plans to hold a lender call at 3 p.m. ET to launch a fungible $300 million incremental covenant-light term loan B (Ba3) due January 2024 talked with an original issue discount of 99.5 and 101 soft call protection for six months, according to a market source.

Like the existing loan, the incremental term B is priced at Libor plus 375 bps with a 1% Libor floor.

Commitments are due at 5 p.m. ET on Aug. 1, the source said.

Credit Suisse Securities (USA) LLC is the left lead on the deal that will be used to fund a shareholder distribution.

Lenders are being offered a 37.5 bps consent fee for a concurrent amendment.

Lightstone is a Princeton, N.J.-based owner of a portfolio of power generation facilities located in the PJM region.

Vivint joins calendar

Vivint set a lender call for 11 a.m. ET on Thursday to launch a $560 million 5.5-year covenant-light term loan B, a market source said.

Bank of America Merrill Lynch is the left lead on the deal that will be used to redeem 6.375% senior secured notes due 2019, to repay revolver borrowings, for general corporate purposes, including repayment of other debt, and to pay fees and expenses.

Vivint is a Provo, Utah-based smart home services provider.

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